Source: US Bureau of Labor Statistics
US inflation ballooned to the highest level in 40 years in January, driven by consumer demand and the impact of the COVID-19 pandemic on supplies.
- Annual inflation clocked in at 7.5%, marking the fastest rate in four decades since February 1982. Inflation stood at 0.6% versus the previous month.
- The biggest annual growth was recorded in energy with 27.0%. This includes fuel oil up by 46.5%, gasoline by P40.0%, and commodities by 39.9%.
- Food prices increased by 7.0%, with food at home prices up by 7.4% and food away from home prices 6.4% higher.
- Core inflation was recorded at 0.6%, unchanged from December. This is the higher reading since August 1982.
- The highest growth was seen in used cars and trucks, which saw prices increase by 40.5%, followed by new vehicles up 12.2%, and commodities up 11.7%.
- Increases were also seen in prices of shelter, household furnishings and operations, medical care, and apparel.